US candy companies favor gummies, licorice over pricey Halloween chocolates

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Halloween candy trends

NEW YORK (Reuters) – Trick-or-treaters hoping to collect chocolate candy this Halloween might face a letdown. Halloween candy trends show U.S. confectionery companies stocking fewer chocolates. Instead, they are focusing on cheaper gummies and licorice. Brands like Mondelez’s Sour Patch Kids and Hershey’s Twizzlers ghosts dominate store shelves, according to market research firm Circana. #HalloweenCandyTrends

Prices on sugary non-chocolate sweets – though still cheaper than chocolate – are also up double digits, according to Circana.

The shift to gummies, licorice and flavored crèmes comes as chocolate makers face shrinking margins and slowing sales. Consumers have been curbing their cravings for costly chocolate, and the candy companies have faced a double-whammy on their own costs for the treat, first from supply chain snarls during the COVID pandemic and now from a cocoa bean shortage.

“Chocolate candy, there’s just not as many items per retailer on shelf,” said Dan Sadler, principal of client insights at Circana, who focuses on confection. “We’re seeing double-digit increases in non-chocolate items.”

Candy companies took a similar approach for Easter, unveiling new products lighter on cocoa. But for Reese’s cup maker Hershey, a top U.S. chocolate maker, the sales results were disappointing, with the company’s category for the spring holiday declining, executives told investors on conference calls. They pegged it on an earlier Easter and a shorter selling season.

A spokesperson for Oreo maker Mondelez said that shoppers for Halloween are looking for more limited editions and special flavors, such as its Sour Patch Kids’ apple harvest and cherry varieties. Mondelez does not have a major U.S. chocolate brand.

Privately-held Mars did not reply to a request for comment.

Hershey’s key new products for Halloween are its Reese’s Werewolf Tracks, which feature a vanilla crème top instead of milk chocolate, and its KitKat Ghost Toast with a cinnamon toast flavored crème, a spokesperson for the company said.

The Hershey, Pennsylvania-based company sees non-chocolate candy as having potential for higher growth, the spokesperson said. Last month Hershey introduced two new non-chocolate candies, Jolly Rancher Ropes and Shaq-a-Licious gummies, which are inspired by the former U.S. basketball star Shaquille O’Neal. #HalloweenCandyTrends

The Rise of Chewy and Fruity Flavors in Halloween Candy

Moreover, Halloween candy trends reflect the growing popularity of chewy and fruity flavors. Companies notice that gummies and licorice appeal to various age groups. As a result, these candies dominate store shelves, drawing attention from shoppers.
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